DriveTime Automotive Group Inc. established a $75-million private warehouse facility last month, boosting its total warehouse capacity to $675 million. The new facility, rated by Kroll Bond Rating Agency, was revealed in a securitization presale report published by KBRA this week. DriveTime also renewed and expanded Wells Fargo & Co. and Citigroup warehouse facilities, bumping them up $50 million to $200 million each. DriveTime also has a $200 million warehouse facility with Deutsche Bank.
Separately, the Kroll report mentioned that DriveTime is reviewing a settlement proposal received last month from the attorney general’s office at the North Carolina Department of Justice, related to a civil investigatory demand. The state’s attorney general issued a CID in January 2014 asking DriveTime for information related to mechanical issues with motor vehicles and consumer complaints, then another CID in June 2014 requesting additional information relating to wear-and-tear repairs within the first 60 days and advertising of the DriveTime multipoint inspection process.
